Week of Aug. 6

August 7, 2018

In This Issue…

• Sandy’s salutations
• Bankers invited to meet lieutenant governor candidate
• Trump signs Flood Insurance Program re-authorization bill
• OCC considering applications for limited-purpose FinTech charter
• Banking marijuana: It won’t be safe until Congress acts
• Save the dates for upcoming major OBA events!
• OBA education corner …

Sandy’s salutations

By Sandy Werner
OBA Chairman

Fall is in the air, kids are returning to school and the OBA Annual Washington Visit is right around the corner – have you signed up?

I’ve already been thinking about issues I would like to discuss with our legislators, including indexing the Reg O executive officer loan amount still at the original 1980 level of $100,000. In today’s money, that would be 205.81 percent higher.

Or how about the fact that 30 states now have legalized medical marijuana, yet it is still listed on Schedule 1 as an illegal drug?

And my ever favorite inquiry: Why don’t credit unions have to comply with the tax code section requirements they fall under, including filing requirements and payment of unrelated business income tax on income outside of their original charters?

What questions do you want to ask? Join us Sept. 30-Oct. 2 in D.C., and let’s ask the hard questions together.

Together we are the OBA!

—– Sandy

Bankers invited to meet lieutenant governor candidate

The OBA would like to invite all bank employees to a meet and greet with lieutenant governor candidate Matt Pinnell before the Republican run-off election. The event will take place at 1:15-2:30 p.m. on Friday, Aug. 17, at the OBA’s Harris Events Center.

This isn’t a fundraiser for Pinnell, it’s an opportunity to ask him about his plan for moving Oklahoma forward.

Pinnell is a proud Oklahoman who has devoted his professional career to advancing our conservative causes and principles. He has served as the Oklahoma Republican Party chairman, where he focused on charting a new course for the state party and helped deliver victories for the hard-working men and women of Oklahoma and their families.

The youngest state Republican Party chairman in the country at the time of his election, Pinnell helped the party secure all five congressional seats and every statewide elected office simultaneously for the first time in Oklahoma history.

In 2013, he went to work for conservatives as National State Party Director at the Republican National Committee, helping elect a Republican majority to the U.S. Senate in 2014 and helping Donald Trump win the White House in 2016. Most recently, he lead the transition of the newly appointed Republican National Committee chairman.

Pinnell knows what it takes to fight for smaller government, less regulation, and a pro-growth business environment. As our lieutenant governor, he will achieve that and more for Oklahoma families and job creators.

We strongly encourage you to bring as many employees as you can to this event and get to know him.
Please let Adrian (adrian@oba.com) at the OBA know how many from your bank will be attending the event.

Trump signs Flood Insurance Program re-authorization bill

President Trump signed a measure last week that extends the National Flood Insurance Program for an additional four months.

The extension was signed with only a few hours to spare on July 31. This is the seventh short-term extension of the program.

Earlier in the day, the Senate passed the legislation 86-12. The House had already approved it by a 366-to-52 vote. The NFIP will remain in place until Nov. 30 and provide time for Congress to take up a reform measure.

The Association continues to advocate for a long-term, affordable solution.

OCC considering applications for limited-purpose FinTech charter

We thought this issue was pretty much dead and buried earlier this year, but that was not to be.

You’ll remember our friend and former Comptroller of the Currency (Tom Curry) had made it clear he intended to create such an option before he left office in 2016.

What are we talking about? Last week the OCC announced it will begin considering applications from FinTech firms for a limited purpose national bank charter. The new comptroller, Joseph Otting, has in the past indicated he wants to look at granting such charters because of the changes in technology that have developed within the financial services industry.

According to Otting, the OCC is committed to the idea of including all financial services providers in roughly the same regulatory net that includes national banks. Otting said this will include FinTech firms.

The OCC also said any special-purpose charters granted will be required to “demonstrate a commitment to financial inclusion,” meeting “a high standard similar to the Community Reinvestment Act’s expectations for national banks that take insured deposits.” In addition, the agency has revised its licensing manual to highlight the supervisory, capital, liquidity and contingency planning requirements it will impose on these new charters.

Banking marijuana: It won’t be safe until Congress acts

This week features two programs from the OBA featuring Mary Beth Guard on the general subject of “banking” any aspect of the various forms in which marijuana businesses might be structured.

The questions keep coming up, and various states in which marijuana is legal in some form are taking different approaches to it.

“As this issue evolves, we’ll make certain to keep bankers informed,” OBA President and CEO Roger Beverage said. “But moving along legislation through Congress that will establish what banks can and can’t do is a going to be a process – and probably a lengthy one – rather than an event.”

Save the dates for upcoming major OBA events!

The dates are set for the 2019 OBA Senior Management Conference as well as the 2019 OBA Convention. Put these dates and locations on your calendar for early planning!

2019 OBA Senior Management Conference, Sheraton Grand at Wild Horse Pass, Phoenix, Arizona, April 7-9.
2019 OBA Convention, Edmond Convention Center and Hilton Garden Inn, Edmond, May 20-22.

Also, the dates for the OBA Bankers’ Night Out programs have been finalized. Mark your calendar for the date of the program that’s in your area of the state and plan to attend. Bring your coworkers with you so that everyone can be up to speed on the most recent developments affecting their job.

As in the past, the schedule for each of these meetings is: 5:30 p.m. – drinks; 6:15 p.m. – program; 7 p.m. – dinner.

PRE-REGISTRATION IS REQUIRED. The cost is $40 per person. Click here for registration information.

Locations and dates for this year’s events are:

Woodward, Sept. 20.
Lawton, Sept. 25.
Oklahoma City, Sept. 26.
Krebs, Oct. 9.
Tulsa, Oct. 16.
Stillwater, Oct. 18.

OBA education corner …

The dog-days of summer are certainly upon us and the beach and mountains are calling many of our names! If, however, more work-related pursuits are your idea of taking advantage of these months of the calendar, the OBA has you covered! Take note of the following:

Dealing with Appraisals: Regulations and Requirements, Aug. 15, webinar — We’ll provide in-depth details of the appraisal and valuation process, from both the lender and appraiser side of the game, to provide a thorough understanding of what is required and what you need.
SSAE18 or SOC 2 – What Provides Value?, Aug. 16, webinar — We will explore the different types of SOC reports provided by vendors and highlight the best items that should be requested from vendors.
Call Report for Banks – Recent Changes, Highlights and Pitfalls, Aug. 17, webinar — The webinar will cover the latest revisions, including any changes resulting from the banking bill recently signed by President Trump. In addition, updates due to revisions in accounting standards, other areas of concern, and common errors made during call report preparation will be reviewed.
CRE Appraisals: Regulations and the Review Process, Aug. 20, webinar — This session will cover the key issues from the 2010 Interagency Appraisal and Evaluation Guidelines, tips for integrating them into your existing policies, and how CRE appraisals differ from residential reports.
2018 CECL Update, Aug. 22, Oklahoma City — This half-day seminar will touch on what’s new involving CECL.
2018 FDIC Outreach, Aug. 23, Oklahoma City — This full-day seminar will have information from the FDIC.
Call Reports – Lending Schedules for Banks, Aug. 24, webinar — This webinar will help you learn the classification priority for reporting loan information correctly and will provide detailed information on correctly reporting unused commitments, interest rate lock commitments, and insider loans.
Top 10 Most Common TRID Issues, Aug. 27, webinar — This two-hour program reviews the 2017 amendments and explains how the amendments impact the existing rule.
Advanced Cash Flow Analysis, Aug. 28, webinar — This webinar will explore multiple models of both business and personal (business owner) cash flow analyses.
2018 OBA Basic Banking School, Sept. 10-13, Oklahoma City — The school is designed to introduce students to basic banking concepts as they relate to the overall functioning of a bank.
2018 Analyzing Financial Statements, Sept. 19-21, Oklahoma City — Commercial lending officers, credit department personnel, loan review personnel and operations personnel interested in learning more about commercial lending will benefit from this three-day course.

Also, join the OBA in partnership with the Federal Reserve Bank of Kansas City and Community Bankers Association of Oklahoma for the second annual Banking and the Economy: A Forum for Women in Banking. The Forum, set for Oct. 24 at the Embassy Suites in Norman, is designed to provide senior level and high potential middle management women bank leaders with industry, leadership and professional development knowledge that will enhance their careers and networks. Don’t miss your chance to be part of this important conversation! Registration is $100. Please register soon, as previous conferences have sold out and space is limited.

Additionally, save the date for this year’s OBA Technology Summit. It’s set for Oct. 25 in Oklahoma City and will cover timely topics such as cybersecurity and business continuity. The OBA will be partnering with RSM US to present the program, and community bank IT professionals and managers should plan to participate. Look for registration to open later this month.